ROCKFORD, Mich. (AP) — Wolverine Worldwide's net income dropped 19 percent in the third quarter, hurt by softness in Europe and increased costs.
The footwear and clothing company, whose brands include Hush Puppies and Merrell, cautioned Tuesday that the weak conditions in Europe are likely to continue.
Wolverine's quarterly performance fell short of Wall Street's expectations and it lowered its full-year forecasts.
The stock declined $1.11, or 2.6 percent, to $42.30 in premarket trading.
Wolverine Worldwide Inc. earned $32.7 million, or 66 cents per share, for the period ended Sept. 8. That's down from $40.4 million, or 82 cents per share, a year ago.
Stripping out 6 cents per share related to its buyout of Collective Brands Inc., earnings were 72 cents per share.
Analysts surveyed by FactSet predicted earnings of 73 cents per share.
Wolverine Worldwide Inc. and private investment firms Blum Capital Partners and Golden Gate Capital announced last week that the approximately $2 billion acquisition of Collective, which owned the Payless and Stride Rite chains, had been completed.